Analyzing Adagio Medical (NASDAQ:ADGM) & LENSAR (NASDAQ:LNSR)

Adagio Medical (NASDAQ:ADGM) and LENSAR (NASDAQ:LNSR) are both small-cap medical companies, but which is the better stock? We will compare the two companies based on the strength of their institutional ownership, analyst recommendations, valuation, profitability, dividends, earnings and risk.

Earnings & Valuation

This table compares Adagio Medical and LENSAR”s gross revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Adagio Medical	$266,000.00	46.09	-$2.13 million	N/A	N/A
LENSAR	$53.49 million	2.96	-$14.38 million	($2.72)	-4.94

Adagio Medical has higher earnings, but lower revenue than LENSAR.

Volatility & Risk

Adagio Medical has a beta of 0.19, indicating that its share price is 81% less volatile than the S&P 500. Comparatively, LENSAR has a beta of 0.56, indicating that its share price is 44% less volatile than the S&P 500.

Insider and Institutional Ownership

48.1% of Adagio Medical shares are held by institutional investors. Comparatively, 40.2% of LENSAR shares are held by institutional investors. 53.5% of Adagio Medical shares are held by company insiders. Comparatively, 38.5% of LENSAR shares are held by company insiders. Strong institutional ownership is an indication that large money managers, hedge funds and endowments believe a stock is poised for long-term growth.

Profitability

This table compares Adagio Medical and LENSAR’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Adagio Medical	N/A	160.59%	40.99%
LENSAR	-34.03%	-49.02%	-21.12%

Analyst Ratings

This is a summary of recent recommendations and price targets for Adagio Medical and LENSAR, as provided by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Adagio Medical	0	0	0	0	0.00
LENSAR	0	2	0	0	2.00

LENSAR has a consensus target price of $15.00, suggesting a potential upside of 11.61%. Given LENSAR’s stronger consensus rating and higher probable upside, analysts clearly believe LENSAR is more favorable than Adagio Medical.

Summary

Adagio Medical beats LENSAR on 7 of the 11 factors compared between the two stocks.

About Adagio Medical

Adagio Medical Holdings, Inc., a developmental stage medical device company, focuses on the development and commercialization of ablation technologies for the treatment of cardiac arrhythmias. It offers treatment for cardiac arrhythmias, including atrial fibrillation, atrial flutter, and ventricular tachycardia. The company’s product portfolio includes iCLAS atrial ultra-low temperature cryoablation (ULTC) catheter and accessories; vCLAS ventricular ULTC catheter; and Cryopulse atrial pulsed-field cryoablation catheter and accessories. The company is based in Laguna Hills, California.

About LENSAR

LENSAR, Inc., a commercial-stage medical device company, focuses on designing, developing, and marketing a femtosecond laser system for the treatment of cataracts and the management of pre-existing or surgically induced corneal astigmatism. It offers LENSAR Laser System that incorporates a range of proprietary technologies designed to assist the surgeon in obtaining visual outcomes, efficiency, and reproducibility by providing imaging, procedure planning, design, and precision. The company also offers ALLY Adaptive Cataract Treatment System, a platform design to femtosecond laser technology features that enhanced laser capabilities into a single small unit that allows surgeons to perform a femtosecond laser assisted cataract procedure in a single operating room. LENSAR, Inc. was incorporated in 2004 and is headquartered in Orlando, Florida.